Tightwads Guide to Saving on Lititz Auto Insurance

Did you fall for a flashy sales pitch and buy an underperforming, overpriced auto insurance policy? Believe me when I say you're not the only one.

Having so many companies and agents to choose from, it's nearly impossible to find the lowest price provider.

It's important to compare prices at least once a year since insurance rates are constantly changing. Even if you think you had the best deal a year ago you can probably find a better price now. Starting now, block out anything you think you know about auto insurance because it's time to teach you the only way to find lower rates on auto insurance.

Choosing the best insurance company for you in Lititz is easy if you know what you're doing. If you are paying for car insurance now, you will be able to save some money using these techniques. But Pennsylvania vehicle owners do need to know the methods companies use to market insurance on the web and take advantage of how the system works.

How to Lower your Auto Insurance Rates

Consumers need to have an understanding of the factors that play a part in calculating auto insurance rates. When you know what positively or negatively controls the rates you pay empowers consumers to make smart changes that may reward you with big savings.

Shown below are some of the factors used by your company to calculate rates.

Having a spouse can save you money - Being married helps lower the price on auto insurance. It translates into being more mature than a single person and statistics show being married results in fewer claims.
Higher safety ratings means cheaper insurance - Vehicles with good safety scores get lower rates. These vehicles protect occupants better and better occupant protection means lower claim amounts passed on to you as lower rates.
Do you need the policy add-ons? - There are quite a few extra coverages that you can buy if you aren't careful. Things like personal injury protection, towing coverage and additional equipment coverage are some examples. They may seem like a good idea initially, but now you might not need them so remove them from your policy.
Do you know you're credit rating? - Credit score is a big factor in calculating your auto insurance rates. People with good credit tend to be more responsible as compared to drivers with poor credit. Therefore, if your credit is low, you could save money insuring your by improving your rating.
Your stress level may be raising your rates - Jobs such as doctors, social workers and stock brokers have the highest rates due to stressful work requirements and lots of time spent at work. On the other hand, jobs such as actors, students and retirees get better rates.
Liability coverage is peace of mind - Your policy's liability coverage provides coverage if ever a jury decides you are liable for personal injury or accident damage. Liability insurance provides legal defense coverage which can cost thousands of dollars. This coverage is very inexpensive as compared to coverage for physical damage, so do not skimp.
More claims means more premium - Car insurance companies in Pennsylvania generally give discounts to people who do not file claims often. If you frequently file small claims, you can look forward to either policy cancellation or increased premiums. Insurance coverage is intended to be relied upon for the large, substantial claims.

More discounts equal less premium

Car insurance companies do not advertise all their discounts very well, so here is a list some of the best known and also the lesser-known discounts you could be receiving.

Sign Online - A handful of insurance companies give back up to $50 for buying a policy and signing up online.
Drive Less and Save - Low mileage vehicles can qualify you for a substantially lower rate.
Safety Course Discount - Taking part in a course teaching defensive driving skills could possibly earn you a 5% discount if your company offers it.
Passive Restraints - Factory air bags and/or automatic seat belt systems can receive discounts of more than 20%.
Claim Free - Drivers with accident-free driving histories can earn big discounts as compared to accident-prone drivers.
Multiple Cars - Having all your vehicles with the same company can get a discount on all vehicles.
Lower Rates for Military - Being deployed with a military unit could be rewarded with lower premiums.
Federal Government Employee - Employees or retirees of the government may qualify you for a discount with select insurance companies.
Theft Prevention System - Vehicles with anti-theft systems are stolen less frequently and earn discounts up to 10%.

Consumers should know that some credits don't apply the the whole policy. Most only apply to specific coverage prices like liability, collision or medical payments. So despite the fact that it appears having all the discounts means you get insurance for free, companies don't profit that way.

To choose companies with discount auto insurance rates in Pennsylvania, click here.

Switch companies and save? Really?

Auto insurance companies such as State Farm, GEICO and Progressive consistently run ads in print and on television. They all seem to have a common claim that you'll save big if you change your coverage to them. But how can every company say the same thing? It's all in the numbers.

All the different companies are able to cherry pick for the type of customer that makes them money. An example of a desirable insured might be profiled as over the age of 40, has no tickets, and has excellent credit. A propective insured that hits that "sweet spot" is entitled to the best price and therefore will save a lot of money.

Drivers who do not match this ideal profile will have to pay a higher premium and this can result in business not being written. The ads state "customers who switch" not "everyone that quotes" save that much money. That's the way companies can make those claims. Because of the profiling, you should get as many comparisons as possible. It's not possible to predict which auto insurance company will have the lowest rates.

Find out more about auto insurance

More detailed Pennsylvania auto insurance information is available at the Pennsylvania Insurance Department website. Pennsylvania drivers can get help finding coverage, find disaster information, discover disciplinary actions, and find out industry alerts.

Other informative sites include this page for Pennsylvania auto insurance and see this list of insurance agents in Lititz.

Final considerations

Discount auto insurance is attainable on the web as well as from independent agents in Lititz, and you need to comparison shop both to have the best selection. Some companies don't offer online price quotes and most of the time these smaller companies sell through independent agents.

Throughout this article, we presented a lot of ways to save on auto insurance. It's most important to understand that the more rate comparisons you have, the better likelihood of reducing your rate. You may even find the lowest premiums are with some of the smallest insurance companies. Some small companies may often insure only within specific states and give getter rates as compared to the big name companies such as .