How to Know You're Spending Too Much for Car Insurance in Broomfield

Scraping up a payment for overpriced car insurance can dwindle your personal savings and force you to make sacrifices. Doing a price comparison is a great way to reduce premiums and put more money in your pocket. Companies like GEICO and Progressive constantly bombard you with advertising and consumers find it hard to sift through the bull and do the work needed to find the best deal.

It's important to check car insurance prices yearly because rates are constantly changing. If you had the lowest price last year you will most likely find a better rate today. Forget anything you know (or think you know) about car insurance because you're about to find out one of the easiest ways to find the best coverage while lowering your premiums.

If you are insured now or need a new policy, you can learn to get lower rates and still get good coverage. Finding affordable coverage in Broomfield is easy if you know what you're doing. Colorado vehicle owners just need to know how to compare rates online.

Policy discounts you shouldn't miss

Companies don't list every available discount in a way that's easy to find, so we researched some of the more common and the harder-to-find discounts you could be receiving. If you aren't receiving every discount you deserve, you are throwing money away.

  • Good Student Discount - Performing well in school can earn a discount of 20% or more. Earning this discount can benefit you up to age 25.
  • New Car Discount - Adding a new car to your policy is cheaper because new vehicles have to meet stringent safety requirements.
  • Drivers Ed for Students - Make teen driver coverage more affordable by requiring them to take driver's ed class in high school.
  • Government Employees - Active or retired federal employment could cut as much as 10% off with certain companies.
  • Sign Early and Save - Select companies give a discount for switching to them prior to your current policy expiring. It can save you around 10%.
  • Passive Restraints and Air Bags - Vehicles with factory air bags or automatic seat belts can qualify for discounts of more than 20%.
  • Theft Prevention Discount - Vehicles with anti-theft systems help deter theft and therefore earn up to a 10% discount.
  • More Vehicles More Savings - Buying insurance for multiple cars or trucks on one policy qualifies for this discount.
  • Accident Free - Drivers who don't have accidents pay much less compared to drivers who are more careless.
  • Own a Home - Being a homeowner can save you money because of the fact that having a home shows financial diligence.

Drivers should understand that some of the credits will not apply to your bottom line cost. Most cut the price of certain insurance coverages like medical payments or collision. So despite the fact that it appears adding up those discounts means a free policy, companies wouldn't make money that way.

Colorado car insurance

Insurance agents can help

When it comes to buying the best car insurance coverage for your personal vehicles, there really is not a best way to insure your cars. Everyone's situation is unique and your policy should reflect that. For example, these questions can help discover whether your personal situation could use an agent's help.

  • Should I buy only the required Colorado minimum liability coverage?
  • Who is covered when they drive my vehicle?
  • Is my cargo covered for damage or theft?
  • Am I covered if I drive in a foreign country?
  • Does my car insurance cover rental cars?
  • Should I drop comprehensive coverage on older vehicles?
  • Does my personal auto insurance policy cover using my vehicle for business use?

If you can't answer these questions but one or more may apply to you, then you may want to think about talking to an agent. If you don't have a local agent, take a second and complete this form or click here for a list of car insurance companies in your area. It's fast, doesn't cost anything and may give you better protection.

Save $429 a year? Really?

Consumers get pounded daily by advertisements for car insurance savings by companies like State Farm and Allstate. All the ads have a common claim that you'll save big if you move to them.

How can each company make the same claim? This is how they do it.

Insurance companies have a preferred profile for the type of driver that earns them a profit. For instance, a preferred risk could be over the age of 40, has no prior claims, and has great credit. A customer that hits that "sweet spot" gets the lowest rates and is almost guaranteed to save when they switch companies.

Potential insureds who don't qualify for the requirements will be charged more money and this can result in business going elsewhere. The ads say "drivers who switch" but not "drivers who get quotes" save money. This is how companies can advertise the savings. That is why you should get a wide range of price quotes. Because you never know which insurance companies will give you the biggest savings.

Learn more about car insurance in Colorado

More detailed Colorado car insurance information is located at the Colorado DORA Division of Insurance website. Consumers can file complaints about a company, file complaints about an insurance agent or broker, download brochures, and learn about specific coverages.

Colorado car insurance quotes

In the end, you save

We just showed you a lot of techniques to reduce car insurance prices online. The key concept to understand is the more you quote, the better likelihood of reducing your rate. Consumers may even find the lowest premiums are with a smaller regional carrier. Regional companies may only write in your state and offer lower rates compared to the large companies like .

As you prepare to switch companies, it's a bad idea to buy lower coverage limits just to save a few bucks. There have been many cases where consumers will sacrifice liability coverage limits only to discover later that the small savings ended up costing them much more. Your goal should be to purchase plenty of coverage for the lowest price, not the least amount of coverage.