Tightwads Tips for Saving on Fair Oaks Ranch Auto Insurance

Expensive auto insurance can overdraw your savings account, especially in this economy. Shopping your coverage around is a great way to make sure you're not throwing money away.

There are many to buy insurance from, and although it's a good thing to be able to choose, it makes it harder to compare rates.

What determines how much you pay?

Consumers need to have an understanding of the factors that go into determining the price you pay for auto insurance. Knowing what influences your rates allows you to make educated decisions that will entitle you to lower auto insurance prices.

Listed below are a partial list of the pieces companies use to determine prices.

Theft deterrents lower rates - Purchasing a vehicle that has an advanced theft prevention system can get you a discount on your auto insurance. Anti-theft features such as GM's OnStar, tamper alarm systems and vehicle immobilizers all aid in stopping auto theft.
Rural vs Urban Areas - Residing in a rural area can save you money when insuring your vehicles. Urban drivers regularly have traffic congestion and much longer commute distances. Fewer drivers means fewer accidents as well as less vandalism and auto theft.
Traffic violations increase rates - Even one citation can increase rates twenty percent or more. Good drivers receive lower rates than bad drivers. If you have serious violations like DWI, reckless driving or hit and run convictions may find they need to file a SR-22 with their state DMV in order to continue driving.
Being married is a good thing - Having a wife or husband can actually save you money on auto insurance. Having a significant other is viewed as being more mature and it's statistically proven that married drivers get in fewer accidents.
Don't buy coverages you don't need - There are many add-on coverages that can waste your money on your auto insurance policy. Coverages for roadside assistance, accident forgiveness and motor club memberships are some examples. These coverages may sound good at first, but if you don't need them eliminate them to save money.

Save big with these discounts

Auto insurance companies don't necessarily list every discount very clearly, so we researched both well-publicized and the more hidden discounts you could be receiving.

Payment Discounts - By paying your policy upfront instead of making monthly payments you can actually save on your bill.
Multiple Policy Discount - If you insure your home and vehicles with the same company you could get a discount of up to 20% off your total premium.
Good Student Discount - This discount can get you a discount of up to 25%. Earning this discount can benefit you until age 25.
Paperwork-free - Certain companies will discount your bill up to fifty bucks just for signing your application over the internet.
Defensive Driver - Completing a course in driver safety could cut 5% off your bill if your company offers it.

It's important to note that some of the credits will not apply to your bottom line cost. Some only reduce the cost of specific coverages such as liability and collision coverage. So even though they make it sound like it's possible to get free car insurance, you're out of luck.

To choose insurance companies offering auto insurance discounts in Texas, click here.

Auto insurance ads bend the truth

Auto insurance providers like State Farm, Allstate and GEICO constantly bombard you with ads on TV and radio. They all have a common claim that you can save if you switch to them. How does each company make almost identical claims?

All companies have a preferred profile for the type of driver that makes them money. For instance, a driver they prefer could possibly be between the ages of 30 and 50, has no prior claims, and has great credit. A driver that hits that "sweet spot" will get very good rates and most likely will save when switching.

Drivers who fall outside these standards will be quoted higher premiums and this can result in the driver buying from a lower-cost company. The ads say "people who switch" not "people who quote" save money. This is how insurance companies can advertise the savings. This emphasizes why you should quote coverage with many companies. It is impossible to predict which insurance companies will fit your personal profile best.

But I don't know anything about car insurance

When buying the best auto insurance coverage for your personal vehicles, there isn't really a one size fits all plan. Everyone's needs are different and your policy should reflect that. These are some specific questions can help discover if your situation might need an agent's assistance.

Are my tools covered if they get stolen from my vehicle?
What are the best liability limits?
Do I need to file an SR-22 for a DUI in Texas?
Does my personal policy cover me when driving my company car?
Should I have combined single limit or split liability limits?
Is my dog or cat covered if injured in an accident?
Am I covered when driving on a suspended license?

If you can't answer these questions, you may need to chat with an agent. If you don't have a local agent, complete this form or you can also visit this page to select a carrier

Additional detailed information is located at the Texas Department of Insurance website. Texas consumers can view a list of available companies, view agent and company licensing information, file complaints about a company, and get help finding coverage.

Final considerations

When you buy insurance online, never buy poor coverage just to save money. There have been many situations where consumers will sacrifice liability coverage limits only to discover later that the few dollars in savings costed them thousands. The proper strategy is to find the BEST coverage at an affordable rate while still protecting your assets.

In this article, we presented a lot of techniques to save on auto insurance. The key thing to remember is the more providers you compare, the better chance you'll have of finding lower rates. Drivers may discover the lowest rates come from an unexpected company. Some small companies often have lower prices on specific markets than their larger competitors like .