Tightwads Guide for Saving on Pickford Auto Insurance

Sick and tired of not being able to afford each month for car insurance? You are in the same boat as millions of other consumers.

Popular companies such as State Farm, Allstate, GEICO and Progressive all promote huge savings with ads and it is challenging if not impossible to sift through the bull and effectively compare rates to find the best deal.

If you have car insurance now, you stand a good chance to be able to lower your premiums substantially using this strategy. Finding the best rates in Pickford is quite easy. Nevertheless, Michigan vehicle owners do need to know the way companies compete online and apply this information to your search.

What determines how much you pay?

Consumers need to have an understanding of some of the elements that help determine auto insurance rates. Having a good understanding of what determines base rates allows you to make educated decisions that will entitle you to lower auto insurance prices.

The following are a few of the "ingredients" companies use to determine prices.

  • Always keep insurance in force - Allowing your coverage to lapse will be a guaranteed way to bump up your auto insurance costs. And not only will your rates increase, but being ticketed for driving with no insurance will get you a steep fine or even jail time.
  • Your auto insurance rates can be influenced by your job - Did you know your auto insurance rates can be affected by your occupation? Careers like lawyers, architects and dentists tend to pay the highest average rates attributed to job stress and lengthy work days. Other occupations such as farmers, historians and performers have the lowest average rates.
  • Men pay higher rates - The statistics show women are more cautious behind the wheel. However, this does not mean women are better drivers. Women and men are in accidents in similar percentages, but the men have costlier accidents. Men also statistically get cited for more serious violations like reckless driving and DUI. Male drivers age 16 to 19 are several times more likely to be in an accident and are penalized with high auto insurance rates.
  • Too many auto insurance claims drive up costs - Companies in Michigan provide cheaper rates to policyholders who file claims infrequently. If you are a frequent claim filer, you can expect either a policy non-renewal or much higher rates. Auto insurance is intended to be relied upon for major claims that would cause financial hardship.
  • Better credit means lower rates - Having a bad credit history is a large factor in your rate calculation. If your credit is not that good, you could save money insuring your by improving your credit score. Drivers with excellent credit tend to file fewer claims and have better driving records than drivers with lower credit scores.
  • Safer occupants lowers premiums - Cars with high safety ratings are cheaper to insure. The safest vehicles result in less severe injuries and better occupant protection translates into fewer and smaller insurance claims and more competitive rates for policyholders.
  • Protect your assets with liability insurance - Liability coverage will protect you when a jury decides you are liable for damages from an accident. Liability provides for a legal defense starting from day one. Liability insurance is quite affordable when compared with rates for comp and collision, so buy as much as you can afford.
  • Where you live is a factor - Being located in a rural area can save you money when buying auto insurance. Fewer drivers means fewer accidents. Drivers who live in large Michigan cities tend to have traffic congestion and a longer drive to work. Longer commute distances can result in more accidents.

Are you getting all your discounts?

Companies offering auto insurance don't necessarily list every discount in a way that's easy to find, so we took the time to find some of the best known and the more hidden auto insurance savings.

  • Use Seat Belts - Using a seat belt and requiring all passengers to buckle their seat belts could cut 10% or more on the medical payments or PIP coverage costs.
  • Employee of Federal Government - Employees or retirees of the government can save as much as 8% with a few auto insurance companies.
  • Senior Discount - If you're over the age of 55, you may be able to get reduced rates.
  • Drivers Ed for Students - Cut your cost by having your teen driver successfully complete driver's ed class if it's offered in school.
  • Air Bag Discount - Cars that have air bags can qualify for discounts of up to 25% or more.
  • Low Mileage Discounts - Fewer annual miles can earn lower rates on the low mileage vehicles.
  • Organization Discounts - Affiliation with a civic or occupational organization could qualify you for a break when shopping for auto insurance.
  • Discount for Life Insurance - Larger companies have better rates if you take out a life insurance policy as well.

Consumers should know that most of the big mark downs will not be given to the entire cost. A few only apply to the cost of specific coverages such as comp or med pay. So when it seems like you can get free auto insurance, companies don't profit that way.

To choose insurance companies who offer auto insurance discounts in Pickford, follow this link.

How can Progressive, Allstate and GEICO save drivers who switch?

Auto insurance providers like Progressive, Allstate and GEICO continually stream ads on television and other media. They all say the same thing of big savings after switching to them. How can each company say the same thing?

All companies can use profiling for the type of driver that makes them money. For example, a driver they prefer might be profiled as between the ages of 30 and 50, is a homeowner, and drives less than 7,500 miles a year. A propective insured who fits that profile receives the best rates and as a result will probably save when they switch companies.

Potential customers who are not a match for the requirements will be quoted a more expensive rate which usually ends up with business not being written. Company advertisements say "people who switch" not "everybody who quotes" save money. That's why insurance companies can confidently advertise the way they do. This emphasizes why you should get a wide range of price quotes. It's not possible to predict the company that will provide you with the cheapest rates.

More tips and info about auto insurance can be found at the Michigan Office of Financial and Insurance Regulation website. Michigan drivers can find a variety of consumer forms, read industry bulletins, learn about insurance regulations, and download brochures.

Affordable insurance is out there

When shopping online for auto insurance, it's not a good idea to buy poor coverage just to save money. There are too many instances where an accident victim reduced physical damage coverage only to regret at claim time that a couple dollars of savings turned into a financial nightmare. Your strategy should be to buy enough coverage at an affordable rate while still protecting your assets.

Throughout this article, we presented many ways to save on auto insurance. The most important thing to understand is the more price quotes you have, the higher your chance of finding lower rates. You may even discover the lowest rates come from an unexpected company. Some small companies may often insure only within specific states and give getter rates than the large multi-state companies such as .