How to Know You're Wasting Money for Auto Insurance in Dallas

Did you fall for a flashy sales pitch and buy overpriced auto insurance? Trust us, you're not the only one.

Having so many insurance companies to choose from, it can be challenging to choose the lowest price company.

It's important to price shop coverage at least once a year since insurance rates are constantly changing. If you had the best deal a couple years back you may be paying too much now. So block out anything you think you know about auto insurance because it's time to teach you the only way to lower your annual insurance bill.

This information will tell you how car insurance quotes work. If you currently have a car insurance policy, you stand a good chance to be able to save some money using this information. Nevertheless, Texas vehicle owners do need to know the way companies determine prices and take advantage of how the system works.

Comprehensive Dallas Auto Insurance Comparison Quotes

There are several ways to compare auto insurance prices but there is one way that is easier and takes less work. You could spend your day driving to insurance companies in Dallas, or you could use online quotes for quick rates.

All the larger companies are enrolled in a marketplace that allows shoppers to submit one quote, and each company then returns a price quote determined by their information. This eliminates the need for repetitive form submissions for each company you want a rate for.

To submit your quote information now, click here (opens in new window).

The only drawback to pricing coverage this way is you can't choose which companies you want to price. So if you want to select from a list of companies to compare prices, we have a listing of companies who write auto insurance in Texas. View list of Texas insurance companies.

Which method you use is up to you, but compare apples-to-apples deductibles and coverage limits with every price quote. If your comparisons have different values for each quote then you won't be able to find the best deal in Dallas. Just a small difference in coverage limits may result in large price differences. Just keep in mind that comparing more company's prices gives you a better chance of getting better pricing.

Learn How to Buy Auto Insurance Cheaper

It's important that you understand some of the elements that come into play when calculating auto insurance rates. When you know what positively or negatively determines base rates helps enable you to make changes that may reward you with much lower annual insurance costs.

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

Where do you drive? - The more you drive in a year the more you will pay for auto insurance. The majority of insurers price each vehicle's coverage determined by how the vehicle is used. Vehicles used primarily for pleasure use can get a lower rate compared to those used for work or business. Double check that your auto insurance policy properly reflects the correct driver usage, because it can save money.
Safer occupants lowers premiums - Vehicles with high crash test scores are cheaper to insure. These vehicles have better occupant injury protection and better occupant protection means lower claim amounts passed on to you as lower rates.
Better credit scores mean better rates - Credit rating is a big factor in calculating your auto insurance rates. Consumers who have high credit scores tend to be less risk to insure than drivers with poor credit. If your credit can use some improvement, you could be paying less to insure your by improving your rating.
Equipment add-ons that lower auto insurance rates - Choosing a vehicle with a theft deterrent system can help lower your rates. Anti-theft devices like vehicle immobilizer systems, General Motors OnStar and LoJack tracking systems can thwart your car from being stolen.
Protect yourself with liability coverage - The liability section of your policy provides coverage if ever a jury decides you are liable for damages caused by your negligence. It provides legal defense coverage which can be incredibly expensive. This coverage is very inexpensive compared to insuring for physical damage coverage, so buy as much as you can afford.
What type of vehicle do you drive? - The performance level of the vehicle you own makes a significant difference in determining your rates. The lowest base rates are for low performance passenger vehicles, but the final cost of insurance is determined by many other factors.
Adjust deductibles and save - Physical damage coverage, otherwise known as comp (or other than collision) and collision, is used to repair damage to your car. Some examples of claims that would be covered are collision with another vehicle, damage from fire, or theft. Your deductibles are how much you are required to spend out-of-pocket in the event of a claim. The more money the insured has to pay upfront, the less your auto insurance will be.

How much can you save with discounts?

The price of auto insurance can be rather high, buy you may qualify for discounts to help offset the cost. Certain discounts will be applied at the time you complete a quote, but lesser-known reductions have to be asked about prior to getting the savings.

Discount for Life Insurance - Larger companies have a break if you buy life insurance.
Drive Less and Save - Keeping the miles down can qualify you for lower rates on the low mileage vehicles.
Military Discounts - Having a deployed family member can result in better rates.
Passive Restraints - Factory air bags and/or automatic seat belt systems can receive discounts of up to 25% or more.
No Claims - Drivers with accident-free driving histories can earn big discounts as compared to frequent claim filers.
Pay Upfront and Save - If you pay your bill all at once rather than paying monthly you could save 5% or more.
Club Memberships - Affiliation with a professional or civic organization could qualify you for a break on auto insurance.

It's important to understand that most credits do not apply the the whole policy. A few only apply to specific coverage prices like collision or personal injury protection. So when it seems like adding up those discounts means a free policy, it doesn't quite work that way. Any qualifying discounts will help reduce the amount you have to pay.

For a list of companies with the best auto insurance discounts in Texas, follow this link.

Additional auto insurance information is available on the website for the Texas Department of Insurance found here. Texas drivers can file complaints about an insurance agent or broker, find disaster information, find out industry alerts, and view a list of available companies.

Other useful links include Auto Insurance 101 and this page where you can research Dallas insurance agents.

The best insurance company isn't always the cheapest

As you go through the steps to switch your coverage, don't be tempted to reduce needed coverages to save money. In many instances, an insured dropped comprehensive coverage or liability limits to discover at claim time that the savings was not a smart move. The ultimate goal is to buy enough coverage at the best price.

Low-cost auto insurance is possible on the web in addition to many Dallas insurance agents, and you should compare price quotes from both to have the best rate selection. Some auto insurance companies do not provide online quoting and most of the time these smaller companies sell through independent agents.