How to Know You're Wasting Money for Auto Insurance in Bowman

Did you fall for a flashy sales pitch and buy an overpriced auto insurance policy? Believe me when I say you are not the only one feeling buyer's remorse.

There are many to pick from, and although it's a good thing to have multiple companies, it makes it harder to compare rates.

The purpose of this article is to tell you the best way to quote coverages and some tips to save money. If you currently have car insurance, you will most likely be able to cut costs considerably using these techniques. Nevertheless, North Dakota drivers do need to know the way insurance companies compete online because it can help you find the best coverage.

Don't pay full price with these discounts

Insuring your fleet can be pricey, but there are discounts available to cut the cost considerably. Larger premium reductions will be automatically applied when you quote, but a few must be asked for prior to getting the savings.

Drivers Education - Make teen driver coverage more affordable by requiring them to successfully complete driver's ed class if it's offered in school.
Driver Safety - Taking a course in driver safety could possibly earn you a 5% discount if you qualify.
Distant Student - Kids in college who are attending college and do not have access to a covered vehicle may be able to be covered for less.
Life Insurance - Larger companies have a discount if you purchase life insurance from them.
Homeowners Discount - Simply owning a home can help you save on auto insurance due to the fact that maintaining a home shows financial diligence.
Passive Restraint Discount - Cars that have air bags and/or automatic seat belt systems may earn rate discounts of up to 25% or more.
Payment Method - If you pay your entire premium ahead of time instead of monthly or quarterly installments you can actually save on your bill.
Low Mileage Discounts - Fewer annual miles could be rewarded with discounted rates on garaged vehicles.

Consumers should know that most discount credits are not given the the whole policy. Most only apply to individual premiums such as liability and collision coverage. So when the math indicates you would end up receiving a 100% discount, companies don't profit that way. Any qualifying discounts will bring down your premiums.

The auto insurance bait and switch

Auto insurance providers like State Farm, Allstate and GEICO continually stream ads in print and on television. They all make an identical promise of big savings after switching to them. How does each company make almost identical claims?

Different companies are able to cherry pick for the type of driver that earns them a profit. For instance, a driver they prefer could possibly be a mature driver, has no tickets, and has great credit. A customer getting a price quote who meets those qualifications is entitled to the best price and therefore will save when switching.

Potential customers who don't measure up to these standards will be quoted a higher premium and ends up with the driver buying from a lower-cost company. The ads state "customers that switch" not "everyone that quotes" save money. That's the way insurance companies can confidently advertise the savings.

This emphasizes why you should compare as many rates as you can. It's impossible to know which auto insurance company will give you the biggest savings.

Additional auto insurance information is located on the website for the North Dakota Insurance Department located here. North Dakota consumers can view a list of available companies, discover disciplinary actions, read enforcement actions against agents and companies, and file complaints about an insurance agent or broker.

Also read more on this site for auto insurance rates in North Dakota and this list of insurance agents in Bowman, ND.

Affordable insurance is out there

Cost effective auto insurance can be bought online and with local Bowman insurance agents, and you need to price shop both to have the best rate selection. There are still a few companies who do not offer you the ability to get quotes online and these small, regional companies work with independent agents.

As you prepare to switch companies, make sure you don't buy lower coverage limits just to save a few bucks. There have been many situations where an insured dropped collision coverage and learned later that the small savings ended up costing them much more. The proper strategy is to buy a smart amount of coverage at a price you can afford while still protecting your assets.