Tightwads Guide for Saving on Gloucester Car Insurance

Did you fall for a flashy sales pitch and buy high-priced car insurance? Believe me, many Gloucester consumers feel financially strained by their car insurance policy. Insurance companies such as GEICO and Progressive constantly bombard you with TV and radio ads and it can be hard to sift through the bull and take the time to shop coverage around.

How much can you save with discounts?

Car insurance companies do not list every discount in a way that's easy to find, so the following is a list of some of the more common and the harder-to-find car insurance savings. If you aren't receiving every discount possible, you're paying more than you need to.

Claim Free - Drivers with accident-free driving histories pay less when compared to bad drivers.
Multi-car Discount - Buying insurance for more than one vehicle on the same car insurance policy qualifies for this discount.
Multiple Policy Discount - When you combine your home and auto insurance with one company you may save approximately 10% to 15%.
Federal Government Employee - Being employed by or retired from a federal job may qualify you for a discount with a few car insurance companies.
Discount for Good Grades - A discount for being a good student can be rewarded with saving of up to 25%. The good student discount can last until age 25.
Discount for Life Insurance - Companies who offer life insurance give better rates if you take out auto and life insurance together.

A little note about advertised discounts, most credits do not apply to all coverage premiums. Some only reduce the price of certain insurance coverages like comp or med pay. Just because you may think all those discounts means the company will pay you, you won't be that lucky.

To see a list of insurance companies offering car insurance discounts in Gloucester, follow this link.

How to Compare Car Insurance Quotes in Gloucester, Massachusetts

Comparing car insurance rates can take hours if you aren't aware of the most efficient way. You can waste a lot of time talking about coverages with insurance agencies in Gloucester, or you can stay home and use online quoting to get rate comparisons in just a few minutes.

Many insurance companies belong to a marketplace that allows shoppers to send in one quote, and each participating company returns a competitive quote based on that data. This eliminates the need for quote requests for each company you want a rate for. To submit your quote information now, click to open in new window.

The one disadvantage to comparing rates this way is you are unable to specify which carriers to get quotes from. If you prefer to choose specific insurance companies to compare, we put together a list of the cheapest car insurance companies in Massachusetts. Click here for list of insurance companies in Massachusetts.

Which method you use is up to you, but ensure you are comparing exactly the same coverage limits and deductibles on every quote you get. If you have different liability limits it will be very difficult to determine which rate is truly the best in Gloucester.

How to Lower your Car Insurance Rates

An important part of buying insurance is that you know some of the elements that go into determining your car insurance rates. Having a good understanding of what impacts premium levels empowers consumers to make smart changes that will entitle you to big savings.

Your job and insurance rates - Did you know your job can affect your rates? Careers like real estate brokers, architects and dentists have the highest average rates in part from high stress levels and lots of time spent at work. Other occupations like actors, historians and homemakers get better rates.
Do you know your deductibles? - Your deductibles define the amount you are willing to pay before your car insurance pays a claim. Insurance for physical damage to your car, otherwise known as comp (or other than collision) and collision, is used to repair damage to your car. A few examples of covered claims are running into the backend of another car, collision with an animal, and windstorm damage. The more expense you have to pay, the less your car insurance will be.
Discounts for multiple policies - Most companies provide better rates to policyholders who have multiple policies with them such as combining an auto and homeowners policy. Discounts can add up to anywhere from five to ten percent in most cases. Even if you're getting this discount it's in your best interest to compare rates to verify if the discount is saving money. You may still be able to find a better deal by insuring with multiple companies.
High numbers of claims are not good - If you tend to file frequent claims, you can pretty much guarantee higher rates. Companies in Massachusetts provide cheaper rates to insureds who do not file claims often. Insurance coverage is meant to be used in the event of the large, substantial claims.
How's your driving record? - A bad driving record has a huge affect on how much you pay. Drivers who don't get tickets tend to pay less for car insurance than bad drivers. Just one moving violation can bump up the cost forty percent or more. If you have serious violations such as DUI or reckless driving may find they need to submit a SR-22 or proof of financial responsibility with their state motor vehicle department in order to continue driving.
Lower miles equals lower premium - The more miles you rack up on your car in a year the higher your rate. Almost all companies rate vehicles based upon how you use the vehicle. Vehicles not used for work or commuting get more affordable rates compared to those used for work or business. Ask your agent if your car insurance policy is rated on how each vehicle is driven.

Save 15 percent in 15 minutes? Is it for real?

Consumers can't get away from ads that promise big savings from the likes of Progressive, Allstate and GEICO. They all say the same thing about savings if you switch your coverage to them.

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

All the different companies are able to cherry pick for the type of customer that is profitable for them. A good example of a driver they prefer could be a mature driver, has no driving citations, and has a short commute. A customer who fits that profile will get very good rates and is almost guaranteed to save when they switch companies.

Drivers who don't meet the requirements will be quoted a higher premium which usually ends up with business going elsewhere. The ads say "drivers who switch" but not "drivers who get quotes" save that much money. That's the way companies can truthfully make the claims of big savings. This emphasizes why drivers must compare as many rates as you can. Because you never know which car insurance company will fit your personal profile best.

And the best car insurance company is...

Cheaper car insurance can be found from both online companies as well as from independent agents in Gloucester, and you need to price shop both to have the best selection. Some insurance providers don't offer the ability to get a quote online and these small insurance companies work with independent agents.

As you shop your coverage around, it's a bad idea to reduce coverage to reduce premium. There are too many instances where someone sacrificed collision coverage and discovered at claim time that saving that couple of dollars actually costed them tens of thousands. Your strategy should be to find the BEST coverage for the lowest price while still protecting your assets.

Learn more about Massachusetts car insurance

Even more information can be read at the Massachusetts Division of Insurance website. Consumers can read industry bulletins, report car insurance fraud, read consumer alerts, and download brochures.