Free Guide to Spending Less for Durham Auto Insurance Online

Expensive auto insurance can dwindle your checking account and force you to make sacrifices. Shopping your coverage around is a great way to reduce premiums and put more money in your pocket.

Insurance companies such as State Farm, Allstate, GEICO and Progressive increase brand awareness with fancy advertisements and it is challenging if not impossible to sift through the bull and find the best price available.

More discounts equal less premium

Companies offering auto insurance don't always list all available discounts in a way that's easy to find, so here is a list both well-publicized and the more hidden discounts you could be receiving.

  • Fewer Miles Equal More Savings - Keeping the miles down can qualify you for a substantially lower rate.
  • Own a Home - Owning a home in Durham can save you money because of the fact that having a home requires personal responsibility.
  • Drivers Ed for Students - Make teen driver coverage more affordable by requiring them to enroll in driver's education in high school.
  • Pay Upfront and Save - By paying your policy upfront instead of monthly or quarterly installments you could save up to 5%.
  • Clubs and Organizations - Participating in a civic or occupational organization may earn a discount when buying auto insurance.

It's important to note that some of the credits will not apply to all coverage premiums. Some only apply to the cost of specific coverages such as liability and collision coverage. So even though they make it sound like you would end up receiving a 100% discount, you're out of luck.

auto insurance in Durham

How to Lower your Auto Insurance Rates

Smart consumers have a good feel for the factors that come into play when calculating the price you pay for auto insurance. Having a good understanding of what influences your rates empowers consumers to make smart changes that could result in better auto insurance rates.

The list below includes some of the factors used by your company to calculate premiums.

  • Extra coverages can waste money - There are a lot of add-on coverages that you can get tricked into buying on your auto insurance policy. Insurance for personal injury protection, accidental death and additional equipment coverage are some examples. These coverages may sound good at first, but now you might not need them so eliminate the coverages to reduce your premium.
  • Being married is a good thing - Being married actually saves money on auto insurance. Having a spouse translates into being more mature and it's statistically proven that married drivers get in fewer accidents.
  • You might want pay the small claims yourself - Auto insurance companies in Maine generally give cheaper rates to drivers who do not file claims often. If you frequently file small claims, you can look forward to higher rates. Car insurance is designed for the bigger claims that can't be paid out-of-pocket.
  • Save money with special equipment - Purchasing a vehicle that has an advanced theft prevention system can help bring down rates. Anti-theft devices such as LoJack tracking devices, vehicle tamper alarm systems or GM's OnStar system all aid in stopping auto theft.
  • Liability insurance protects assets - The liability section of your policy is the protection if a court rules you are at fault for personal injury or accident damage. Liability insurance provides legal defense coverage up to the limits shown on your policy. Carrying liability coverage is mandatory and cheap compared to insuring for physical damage coverage, so do not skimp.
  • A lapse in coverage is a bad thing - Driving your car without having proper coverage is a misdemeanor and auto insurance companies will penalize you for letting your coverage lapse. And not only will insurance be more expensive, getting caught without coverage can result in a license revocation or jail time.

Switch companies and save? Really?

21st Century, Allstate and State Farm regularly use ads in print and on television. All the companies have a common claim that you can save if you move your coverage to them. How can each company make almost identical claims?

Different companies have a preferred profile for the type of customer that earns them a profit. An example of a profitable customer could possibly be over the age of 40, insures multiple vehicles, and has great credit. A customer getting a price quote that hits that "sweet spot" will qualify for the lowest rates and therefore will save when they switch companies.

Potential insureds who do not match the requirements must pay more money and this can result in the driver buying from a lower-cost company. The ad wording is "people who switch" not "everyone that quotes" save that much money. This is how insurance companies can advertise the savings. This illustrates why drivers should get a wide range of price quotes. It's impossible to know which insurance companies will fit your personal profile best.

Additional detailed information is available at the Maine Bureau of Insurance website. Maine consumers can discover disciplinary actions, get help finding coverage, download brochures, and view a list of available companies.

Shop smart and save

Lower-priced auto insurance is possible online as well as from independent agents in Durham, and you need to comparison shop both to have the best chance of lowering rates. There are still a few companies who don't offer you the ability to get quotes online and usually these smaller companies provide coverage only through local independent agents.

When you buy insurance online, it's not a good idea to skimp on coverage in order to save money. There are a lot of situations where drivers have reduced comprehensive coverage or liability limits to discover at claim time that the few dollars in savings costed them thousands. The proper strategy is to get the best coverage possible at an affordable rate while not skimping on critical coverages.