Tightwads Guide for Saving on Bar Harbor Auto Insurance

Are you tired of not being able to afford each month for car insurance? You are in the same boat as the majority of other car owners in Maine. Big companies like State Farm, Allstate, GEICO and Progressive increase brand awareness with catchy ads and it is difficult to sift through the bull and effectively compare rates to find the best deal.

If you have insurance now or need new coverage, you can learn to shop for the lowest rates and possibly find even better coverage. Choosing the best insurance company for you in Bar Harbor is not that difficult. Maine consumers only need to know the proper methods to shop their coverage around online.

More discounts equal less premium

Companies that sell car insurance do not advertise every discount in a way that's easy to find, so we researched both well-publicized as well as the least known discounts you could be receiving. If you aren't receiving every discount available, you are throwing money away.

Drivers Ed for Students - Make teen driver coverage more affordable by requiring them to successfully complete driver's ed class in school.
Employee of Federal Government - Active or retired federal employment can save as much as 8% with a few auto insurance companies.
Anti-theft Discount - Vehicles with anti-theft systems help deter theft and will save you 10% or more.
Payment Discounts - 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 when shopping for auto insurance.
Passive Restraint Discount - Cars that have air bags can qualify for discounts of 20% or more.
No Claims - Claim-free drivers pay much less when compared to drivers who are more careless.

A little note about advertised discounts, some credits don't apply to the entire cost. Most only reduce individual premiums such as liability and collision coverage. So despite the fact that it appears it's possible to get free car insurance, you won't be that lucky.

Understand what determines the rate you pay

Smart consumers have a good feel for the factors that go into determining the price you pay for auto insurance. Having a good understanding of what impacts premium levels helps enable you to make changes that will entitle you to lower auto insurance prices.

An active claims history can cost you - Companies in Maine generally give cheaper rates to insureds who do not rely on their insurance for small claims. If you frequently file small claims, you can pretty much guarantee either higher rates or even cancellation. Auto insurance is designed for major claims that would cause financial hardship.
Bundling policies can get discounts - Most insurance companies provide better rates to customers who buy several policies from them such as combining an auto and homeowners policy. Discounts can amount to 10 percent or more. Even if you're getting this discount you still need to compare other company rates to confirm you are receiving the best rates possible. You may still be able to find better rates by insuring with multiple companies.
Don't skimp on liability - Liability insurance will protect you when a court rules you are at fault for damages caused by your negligence. Liability insurance provides legal defense starting from day one. Liability insurance is quite affordable compared to physical damage coverage, so do not skimp.
Careful drivers pay lower rates - A bad driving record has a huge affect on how much you pay. Even one citation may increase your cost twenty percent or more. Drivers with clean records have lower premiums than bad drivers. If you have serious violations like hit and run, DWI or reckless driving convictions may find they need to file a proof of financial responsibility form (SR-22) with their state DMV in order to continue driving.
Your job and insurance rates - Did you know that where you work can have an impact on rates? Careers like judges, social workers and dentists are shown to have the highest average rates because of high stress levels and lengthy work days. Other jobs such as farmers, historians and homemakers pay the least.
Having a spouse can save you money - Having a wife or husband can actually save you money on auto insurance. Having a significant other usually means you are more responsible and it's proven that drivers who are married are more cautious.
Battle of the sexes - The statistics show women are more cautious behind the wheel. That doesn't necessarily mean that men are WORSE drivers than women. Women and men cause accidents in similar numbers, but the men cause more damage. Men also statistically get more serious tickets such as DWI and reckless driving. Youthful male drivers are most likely to cause an accident and therefore are the most expensive to insure.
Pleasure use saves money - The more miles you rack up on your car every year the higher your rate. The majority of insurers apply a rate based upon how you use the vehicle. Cars left parked in the garage receive lower rates as compared to vehicles used primarily for driving to work. Make sure your auto insurance policy is rated on how each vehicle is driven, because improper ratings can cost you money.

Switch companies and save? Really?

Maine consumers get pounded daily by advertisements for the lowest price auto insurance from companies such as State Farm, Allstate and GEICO. They all have a common claim about savings if you switch your policy.

How can each company make almost identical claims?

All companies can use profiling for the right customer that earns them a profit. For instance, a driver they prefer could possibly be between 30 and 50, is a homeowner, and has great credit. A customer getting a price quote that hits that "sweet spot" will get the preferred rates and therefore will save when they switch companies.

Drivers who do not match the requirements will be quoted higher premiums and this can result in the driver buying from a lower-cost company. The ads state "customers that switch" not "everyone that quotes" save that kind of money. That's why companies can truthfully advertise the savings. This emphasizes why drivers should get quotes from several different companies. It's impossible to know the company that will give you the biggest savings.

Even more information is located at the Maine Bureau of Insurance website. Maine consumers can download brochures, read consumer alerts, find out which companies have the most complaints, and file complaints about a company.

In the end, you save

As you prepare to switch companies, it's not a good idea to skimp on coverage in order to save money. There have been many situations where an accident victim reduced liability coverage limits only to discover later that the small savings ended up costing them much more. The proper strategy is to get the best coverage possible at a price you can afford while still protecting your assets.

The cheapest auto insurance can be found online in addition to many Bar Harbor insurance agents, so compare prices from both to have the best chance of lowering rates. There are still a few companies who do not provide you the ability to get quotes online and these small, regional companies work with independent agents.