How to Know You're Paying Too Much for Auto Insurance in South Lyon

No one in their right mind cherishes buying auto insurance, in particular when they are paying too much.

Numerous battle to insure your vehicles, and it can be difficult to compare rates to find the absolute lowest price

These discounts can lower your rates

Insurance can be prohibitively expensive, but there are discounts available that you may not even be aware of. A few discounts will automatically apply when you complete an application, but a few must be manually applied before they will apply.

  • Defensive Driver - Taking part in a course in driver safety can save you 5% or more if you qualify.
  • Early Signing - Some companies give discounts for switching policies prior to your current policy expiring. This can save 10% or more.
  • Good Student - Performing well in school can be rewarded with saving of up to 25%. Earning this discount can benefit you until age 25.
  • Clubs and Organizations - Participating in certain professional organizations may earn a discount when buying auto insurance.
  • Homeowners Savings - Owning a home in South Lyon can save you money because owning a home shows financial diligence.
  • Passive Restraints - Vehicles equipped with air bags or motorized seat belts can get savings of 20% or more.

As a disclaimer on discounts, some credits don't apply to the entire policy premium. The majority will only reduce specific coverage prices like liability and collision coverage. So despite the fact that it appears having all the discounts means you get insurance for free, auto insurance companies aren't that generous. Any amount of discount will cut the cost of coverage.

auto insurance in South Lyon

Different people need different coverages

When it comes to buying the best auto insurance coverage for your vehicles, there is no cookie cutter policy. Your needs are not the same as everyone else's and your policy should reflect that. For instance, these questions may help highlight whether you might need professional guidance.

  • Should I have combined single limit or split liability limits?
  • Does my car insurance cover rental cars?
  • Why am I required to buy high-risk coverage?
  • Are rental cars covered under my policy?
  • When do I need to add a new car to my policy?
  • Can I rate high risk drivers on liability-only vehicles?

If you can't answer these questions but you think they might apply to your situation, you might consider talking to an agent. To find an agent in your area, fill out this quick form or go to this page to view a list of companies.

Are you falling for claims of savings?

21st Century, Allstate and State Farm constantly bombard you with ads on television and other media. All the companies have a common claim about savings if you switch to them. How do they all make almost identical claims? It's all in the numbers.

All the different companies have a certain "appetite" for the type of driver that earns them a profit. For instance, a profitable customer could possibly be between 30 and 50, a clean driving record, and has a short commute. A customer getting a price quote that hits that "sweet spot" gets the lowest rates and as a result will probably cut their rates substantially.

Consumers who are not a match for the "perfect" profile must pay higher rates and this can result in the driver buying from a lower-cost company. Company advertisements say "customers who switch" not "everybody who quotes" save money. That is how companies can truthfully make the claims of big savings.

This illustrates why you should get a wide range of price quotes. It's impossible to know which company will fit your personal profile best.

Additional Michigan consumer information

Additional information is located on the website for the Michigan Office of Financial and Insurance Regulation found here. Michigan consumers can discover disciplinary actions, learn about specific coverages, file complaints about a company, and find out which companies have the most complaints.

Michigan auto insurance

Do the work, save more money

Cheap auto insurance is available online and with local South Lyon insurance agents, so compare prices from both to get a complete price analysis. Some insurance providers do not offer you the ability to get quotes online and usually these small, regional companies provide coverage only through local independent agents.

You just read a lot of ways to reduce auto insurance prices online. The key thing to remember is the more companies you get rates for, the better likelihood of reducing your rate. Consumers may even find the best prices are with a small mutual company. Regional companies may have significantly lower rates on certain market segments than the large multi-state companies such as .