How to Know You're Throwing Money Away for Car Insurance in Bruce

Are you sick and tired of robbing Peter to pay Paul each month for car insurance? You are no different than the majority of other car owners in Michigan. Numerous battle for your insurance dollar, so it's not easy to compare every and get the best coverage at the lowest price

It's important to get comparison quotes before your policy renews due to the fact that insurance rates are constantly changing. Just because you found the lowest rates six months ago a different company probably has better rates today. Starting right now, forget all the misinformation about car insurance because I'm going to teach you the tricks you need to know to save on car insurance.

Take advantage of discounts

Car insurance is not cheap, but companies offer discounts that you may not know about. Certain discounts will be applied at the time of purchase, but lesser-known reductions have to be requested specifically prior to receiving the credit. If they aren't giving you every credit available, you are throwing money away.

  • Multi-policy Discount - If you have multiple policies with the same company you will save at least 10% off all policies.
  • No Claims - Claim-free drivers can save substantially compared to drivers who are more careless.
  • E-sign - A few companies may give you up to $50 just for signing your application on their website.
  • Multiple Vehicles - Insuring multiple vehicles on one policy can get a discount on all vehicles.
  • Senior Citizens - If you qualify as a senior citizen, you may be able to get a discount up to 10%.

It's important to note that many deductions do not apply to the entire cost. Most only apply to specific coverage prices like comprehensive or collision. Just because you may think adding up those discounts means a free policy, you're out of luck. But any discount will cut your overall premium however.

Bruce car insurance quote

Understand what determines the rate you pay

Smart consumers have a good feel for the rating factors that help determine the rates you pay for car insurance. Understanding what influences your rates helps enable you to make changes that can help you get much lower annual insurance costs.

The following are a few of the "ingredients" that factor into your rates.

  • Do you qualify for a multi-policy discount? - Many car insurance companies give discounts to insureds who carry more than one policy. It's known as a multi-policy discount. This can amount to ten or even up to twenty percent in some cases. Even with this discount, it's still a good idea to compare other company rates to confirm you are receiving the best rates possible. You may still find better rates by splitting coverages up.
  • Occupation reflects on rates - Did you know your occupation can influence how much you pay for car insurance? Occupations like lawyers, executives and accountants are shown to have higher rates than average due to high stress and long work days. On the flip side, professions such as farmers, athletes and performers pay the least.
  • Being married can save on car insurance - Having a spouse can get you a discount on your car insurance policy. Marriage usually means you are more mature and statistics show drivers who are married are more cautious.
  • Bump up deductibles to save - Physical damage insurance, termed comprehensive and collision coverage on your policy, protects your car from damage. Some examples of claims that would be covered would be collision with another vehicle, damage from fire, and windstorm damage. Physical damage deductibles are the amount of money you are required to spend before a claim is paid by your company. The higher the amount the insured has to pay upfront, the less your company will charge you for insurance.
  • Women pay lower rates - The statistics show that men are more aggressive behind the wheel. However, this does not mean men are WORSE drivers than women. Both sexes tend to get into accidents in similar percentages, but men have costlier accidents. Men also have more aggressive citations like DUI and reckless driving. Young males are the most expensive to insure and therefore are the most expensive to insure.
  • Claim-free discounts can add up - If you file claims often, you can definitely plan on either policy cancellation or increased premiums. Insurance companies in Michigan give better rates to drivers who do not rely on their insurance for small claims. Your insurance policy is intended for major claims that would cause financial hardship.
  • Clean credit earns discounts - Your credit history is a big factor in your rate calculation. So if your credit score is not that good, you could potentially save money when insuring your by repairing your credit. Consumers who have good credit tend to be less risk to insure than those with lower credit scores.
  • Bad driving skills means higher rates - Your driving record impacts your car insurance rates tremendously. Drivers with clean records get better rates compared to drivers with tickets. Only having one speeding ticket may increase your cost by twenty percent. Drivers who get flagrant violations like hit and run, DWI or reckless driving convictions may be required to file a SR-22 to the state department of motor vehicles in order to keep their license.

Are car insurance companies telling the truth?

Consumers in Michigan get pounded daily by advertisements for the lowest price auto insurance from companies such as Allstate and Progressive. All the ads make the same claim that you can save after switching your policy.

How do they all claim to save you money? It's all in the numbers.

Insurance companies can use profiling for the right customer that earns them a profit. For example, a preferred risk might be between the ages of 30 and 50, is a homeowner, and has a high credit rating. Any driver who matches those parameters is entitled to the best price and most likely will cut their rates substantially.

Potential customers who don't qualify for the "perfect" profile will be charged higher prices which leads to the customer not buying. The ads state "customers who switch" not "people who quote" save that kind of money. That's why insurance companies can state the savings.

That is why drivers should quote coverage with many companies. You cannot predict the company that will have the lowest rates.

Learn more today

More information can be found on the website for the Michigan Office of Financial and Insurance Regulation found here. Visitors are able to read consumer alerts, read industry bulletins, get help finding coverage, and report car insurance fraud.

In the end, you save

As you restructure your insurance plan, never skimp on coverage in order to save money. Too many times, an accident victim reduced uninsured motorist or liability limits only to regret that they should have had better coverage. The aim is to buy a smart amount of coverage at the best price, not the least amount of coverage.

Lower-priced car insurance can be sourced both online in addition to many Bruce insurance agents, and you should compare price quotes from both so you have a total pricing picture. Some insurance companies do not provide you the ability to get quotes online and many times these regional insurance providers only sell through independent insurance agents.