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

Scraping up a payment for overpriced auto insurance can empty your personal savings and make it impossible to make ends meet. Doing a price comparison is a great way to reduce premiums and put more money in your pocket.

Companies like State Farm, Allstate, GEICO and Progressive increase brand awareness with TV and radio ads and consumers find it hard to sift through the bull and effectively compare rates to find the best deal.

It's important to do rate comparisons quite often because prices are constantly changing. Even if you got the best rates two years ago you can probably find a better price now. There is a lot of bad advice regarding auto insurance on the web, but we're going to give you some great ways to quit paying high auto insurance rates.

If you have car insurance now, you will be able to reduce your rates substantially using these methods. Buying car insurance in Cochranton is easy if you know what you're doing. But Pennsylvania drivers do need to know how insurance companies price insurance differently.

Why some people pay less for insurance in Cochranton

Consumers need to have an understanding of the factors that help determine the price you pay for auto insurance. Having a good understanding of what controls the rates you pay allows you to make educated decisions that can help you get lower auto insurance prices.

Multi-policy discounts can save money - Many insurance companies give discounts to customers who carry more than one policy such as combining an auto and homeowners policy. Discounts can add up to 10 percent or more. Even though this discount sounds good, you may still want to comparison shop to make sure you are getting the best deal.
With age comes lower rates - More mature drivers tend to be more responsible, tend to file fewer claims and receive fewer citations. Teen drivers are known to be careless and easily distracted when driving and because of this, their auto insurance rates are much higher.
More miles equals more premium - Driving more miles in a year's time the higher your rates will be. Most companies apply a rate based on how the vehicle is used. Cars left parked in the garage get more affordable rates than those used for commuting. Make sure your auto insurance coverage is rated on the proper vehicle usage.
Special features that cut premiums - Purchasing a vehicle that has an advanced theft prevention system can help bring down rates. Theft prevention features such as GM's OnStar, tamper alarm systems and vehicle immobilizers all aid in stopping auto theft.
Increase deductibles and save - Insurance for physical damage to your car, commonly called comprehensive (or other-than-collision) and collision coverage, protects your car from damage. Examples of covered claims could be colliding with a building, damage caused by hail, and windstorm damage. The deductibles are the amount of money you are required to spend before your auto insurance pays a claim. The more expense you're willing to pay, the bigger discount you will receive.

Take advantage of discounts

Car insurance is not cheap, but you may find discounts to reduce the price significantly. Some discounts apply automatically when you quote, but some may not be applied and must be specially asked for prior to getting the savings.

Anti-lock Brakes - Vehicles equipped with ABS or steering control can reduce accidents and earn discounts up to 10%.
Resident Student - Youth drivers living away from home attending college and do not have access to a covered vehicle may qualify for this discount.
Discount for New Cars - Adding a new car to your policy can cost up to 25% less since new cars are generally safer.
Payment Method - By paying your policy upfront instead of making monthly payments you can actually save on your bill.
Multiple Vehicles - Insuring multiple vehicles with the same company could earn a price break for each car.
Anti-theft Discount - Vehicles with anti-theft systems help deter theft and qualify for as much as a 10% discount.
Drivers Ed for Students - Cut your cost by having your teen driver take driver's ed class if it's offered in school.
Low Mileage - Fewer annual miles could qualify for a substantially lower rate.
Government Employees - Employees or retirees of the government can save as much as 8% with certain companies.
Save over 55 - If you're over the age of 55, you may be able to get reduced rates.

Drivers should understand that some of the credits will not apply to the overall cost of the policy. Some only reduce the cost of specific coverages such as comprehensive or collision. So even though they make it sound like you can get free auto insurance, companies wouldn't make money that way. But all discounts will reduce your overall premium however.

To choose providers who offer auto insurance discounts in Cochranton, click here.

Are auto insurance companies telling the truth?

Companies like Allstate and Progressive continually stream ads on TV and radio. All the ads have a common claim that you'll save big after switching to them. How can each company make almost identical claims?

All companies have a preferred profile for the type of driver that makes them money. A good example of a preferred risk could possibly be over the age of 50, insures multiple vehicles, and chooses high deductibles. A customer getting a price quote that hits that "sweet spot" will get very good rates and most likely will save when they switch companies.

Potential customers who don't qualify for the requirements will be charged a higher premium and this can result in the driver buying from a lower-cost company. The ads say "people who switch" not "people who quote" save money. This is how companies can state the savings.

That is why you should get a wide range of price quotes. It's impossible to know which insurance companies will give you the biggest savings.

How to know if you need help

When buying coverage for your personal vehicles, there really is not a cookie cutter policy. Each situation is unique and your policy should reflect that. These are some specific questions may help you determine whether your personal situation may require specific advice.

Do I need PIP (personal injury protection) coverage in Pennsylvania?
Do I pay less if my vehicle is kept in my garage?
Who is covered when they drive my vehicle?
Do I have any recourse if my insurance company denies a claim?
Am I covered when driving on a suspended license?
Am I covered when renting a car or should I buy coverage from the car rental agency?
Is my cargo covered for damage or theft?
Is rental equipment covered for theft or damage?

If you can't answer these questions but you think they might apply to your situation, 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 auto insurance companies in your area.

Much more information about auto insurance in Pennsylvania can be read on the website for the Pennsylvania Insurance Department through this link. Pennsylvania consumers can read consumer alerts, read enforcement actions against agents and companies, file complaints about an insurance agent or broker, and view a list of available companies.

Affordable insurance is out there

When buying insurance coverage, it's not a good idea to buy poor coverage just to save money. Too many times, drivers have reduced full coverage and found out when filing a claim that their decision to reduce coverage ended up costing them more. The aim is to find the BEST coverage at an affordable rate, not the least amount of coverage.

Budget-conscious auto insurance can be purchased online and with local Cochranton insurance agents, and you should be comparing both to have the best rate selection. Some insurance companies do not offer online price quotes and many times these small insurance companies only sell through independent insurance agents.