Tightwads Guide for Saving on Gueydan Auto Insurance

Are you tired of robbing Peter to pay Paul each month for car insurance? You are in the same boat as the majority of other car owners in Louisiana. Insurance companies such as State Farm, Allstate, GEICO and Progressive increase brand awareness with TV and radio ads and it can be hard to sift through the bull and find the best price available.

It's important to get comparison quotes before your policy renews because prices are constantly changing. If you had the best rates a couple years back a different company probably has better rates today. There is a lot of bad advice regarding auto insurance online, so I'm going to show you some great ways to find cheap auto insurance.

These discounts can lower your rates

The price of auto insurance can be rather high, but companies offer discounts to help offset the cost. Most are applied at the time of quoting, but some may not be applied and must be asked about before you will receive the discount. If you aren't receiving every discount available, you are throwing money away.

Discount for New Cars - Insuring a new car is cheaper compared to insuring an older model.
No Claims - Claim-free drivers pay less as compared to drivers who are more careless.
Drivers Ed for Students - Make teen driver coverage more affordable by requiring them to complete a driver education course in high school.
Pay Upfront and Save - By paying your policy upfront instead of monthly or quarterly installments you could save 5% or more.
Clubs and Organizations - Participating in a civic or occupational organization may earn a discount on auto insurance.

It's important to note that some of the credits will not apply to the entire cost. Some only reduce the price of certain insurance coverages like collision or personal injury protection. So despite the fact that it appears you could get a free auto insurance policy, you're out of luck. But any discount will reduce the cost of coverage.

Understand what determines the rate you pay

Smart consumers have a good feel for the factors that come into play when calculating the price you pay for auto insurance. Having a good understanding of what influences your rates helps enable you to make changes that may reward you with better auto insurance rates.

The list below includes some of the items that factor into rates.

Drive less and save money - The more you drive every year the more you will pay for auto insurance. The majority of insurers apply a rate based on their usage. Cars that are left in the garage get more affordable rates than vehicles that are driven to work every day. Verify your auto insurance policy is rated on the correct driver usage.
Rates may be lower depending on your job - Jobs such as real estate brokers, social workers and dentists are shown to have the highest average rates in part from high stress and long work hours. Other occupations such as farmers, historians and the unemployed pay the least.
Small claims can cost you - Car insurance companies in Louisiana generally give cheaper rates to drivers who do not rely on their insurance for small claims. If you are a frequent claim filer, you can definitely plan on higher rates. Car insurance is designed for major claims that would cause financial hardship.
Save money with special equipment - Driving a car with anti-theft technology or alarm system can help bring down rates. Anti-theft devices such as vehicle immobilizer systems, General Motors OnStar and LoJack tracking systems all hinder auto theft.
Liability insurance protects assets - The liability section of your policy will protect you if ever a court rules you are at fault for damages caused by your negligence. Liability provides you with a defense in court up to the limits shown on your policy. This coverage is very inexpensive compared to insuring for physical damage coverage, so do not skimp.
Safer cars are cheaper to insure - Safer cars get lower rates. These vehicles have better occupant injury protection and lower injury rates translates into fewer and smaller insurance claims and more competitive rates for policyholders.
Clean credit earns discounts - Credit rating is a huge factor in your rate calculation. Consumers who have good credit tend to be less risk to insure than those with lower credit ratings. If your credit history can use some improvement, you could potentially save money when insuring your by improving your credit score.
One company can mean more discounts - The majority of insurance companies will give a discount to customers who consolidate policies with them such as combining an auto and homeowners policy. Discounts can add up to 10 percent or more. Even with this discount, it's in your best interest to compare other company rates to confirm you are receiving the best rates possible. Consumers may find better rates by splitting coverages up.

Are you falling for claims of savings?

Louisiana consumers get pounded daily by advertisements for the lowest price auto insurance from companies such as GEICO, State Farm and Progressive. They all seem to have a common claim that you can save if you move your policy.

How can each company make almost identical claims? This is how they do it.

Different companies can use profiling for the right customer that earns them a profit. A good example of a desirable insured could possibly be over the age of 40, is a homeowner, and drives less than 10,000 miles a year. A customer getting a price quote that hits that "sweet spot" will get very good rates and as a result will probably save when they switch companies.

Potential insureds who are not a match for the requirements will have to pay more money and this can result in the driver buying from a lower-cost company. The ads say "drivers who switch" not "everybody who quotes" save that kind of money. That's why insurance companies can advertise the way they do.

Because of the profiling, drivers should compare as many rates as you can. It's impossible to know the company that will provide you with the cheapest rates.

More information can be read on the website for the Louisiana Department of Insurance. Click here for link. Louisiana consumers can file complaints about an insurance agent or broker, read industry bulletins, download brochures, and view a list of available companies.

And the best car insurance company is...

As you go through the steps to switch your coverage, it's not a good idea to skimp on coverage in order to save money. In many instances, an accident victim reduced collision coverage and discovered at claim time that the savings was not a smart move. The ultimate goal is to find the BEST coverage for the lowest price.

Lower-priced auto insurance is possible online in addition to many Gueydan insurance agents, and you need to comparison shop both to have the best chance of lowering rates. Some auto insurance companies do not provide you the ability to get quotes online and most of the time these small insurance companies sell through independent agents.