How to Know You're Spending Too Much for Auto Insurance in Fort Pierre

Overpriced auto insurance can take a big chunk out of your personal savings and force you to make sacrifices. Shopping your coverage around is a smart way to slash your bill and have more diposable income.

There is such a variety of to buy insurance from, and although it's nice to be able to choose, so many choices can make it hard to compare rates.

It's important to get comparison quotes quite often because insurance rates are constantly changing. If you had the best deal on your last policy you can probably find a better price now. Starting now, ignore everything you know about auto insurance because you're about to learn the only way to save on auto insurance.

Understand what determines the rate you pay

Consumers need to have an understanding of some of the elements that come into play when calculating the price you pay for auto insurance. Knowing what influences your rates helps enable you to make changes that may reward you with lower auto insurance prices.

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

Where you live - Residing in a rural area can be a good thing when insuring your vehicles. City drivers regularly have much more traffic and longer commute times. Lower population means reduced accidents and also fewer theft and vandalism claims.
Sex matters - Statistics have proven that women are safer drivers than men. However, don't assume that men are WORSE drivers than women. Women and men have accidents at about the same rate, but the males cause more damage and cost insurance companies more money. They also get cited for more serious violations such as DWI and reckless driving.
Car features impact rates - Purchasing a vehicle with anti-theft technology or alarm system can get you a discount on your auto insurance. Anti-theft devices such as vehicle immobilizer systems, General Motors OnStar and LoJack tracking systems all aid in stopping your car from being stolen.
Higher safety ratings means cheaper insurance - Cars with high safety ratings are cheaper to insure. These vehicles have better occupant injury protection and lower injury rates translates into savings for insurance companies and thus lower rates.
Too many auto insurance claims drive up costs - Car insurance companies in South Dakota provide lower rates to drivers who do not rely on their insurance for small claims. If you file claims often, you can look forward to higher rates. Auto insurance is designed for the bigger claims that can't be paid out-of-pocket.

How much can you save with discounts?

Companies don't always publicize all their discounts very clearly, so here is a list both well-publicized and the harder-to-find auto insurance savings.

Discount for Life Insurance - Some companies give a discount if you purchase a life insurance policy as well.
Save over 55 - If you're over the age of 55, you can possibly qualify for a discount up to 10%.
Pay Upfront and Save - If you pay your bill all at once instead of making monthly payments you could save 5% or more.
Military Discounts - Having a deployed family member can result in better rates.
Drivers Education - Cut your cost by having your teen driver complete a driver education course in high school.

Keep in mind that most credits do not apply to the overall cost of the policy. Most only apply to the price of certain insurance coverages like collision or personal injury protection. So despite the fact that it appears you can get free auto insurance, it just doesn't work that way.

To choose companies with the best auto insurance discounts in South Dakota, follow this link.

Save 15 percent in 15 minutes? Is it for real?

Auto insurance companies such as GEICO, State Farm and Progressive regularly use television and radio advertisements. They all seem to say the same thing that you can save if you move your policy. How does each company make almost identical claims? This is how they do it.

All companies have a preferred profile for the right customer that makes them money. An example of a desirable insured could possibly be between 25 and 40, insures multiple vehicles, and has great credit. A driver who fits that profile is entitled to the best price and is almost guaranteed to save when switching.

Consumers who don't meet these standards will have to pay higher rates which usually ends up with the driver buying from a lower-cost company. The ads state "drivers who switch" but not "drivers who get quotes" save that kind of money. This is how insurance companies can advertise the savings. Because of the profiling, you should get a wide range of price quotes. It is impossible to predict which insurance companies will fit your personal profile best.

How much car insurance do I need?

When buying proper insurance coverage for your personal vehicles, there isn't really a one size fits all plan. Every insured's situation is different and a cookie cutter policy won't apply. For example, these questions may help you determine if your insurance needs would benefit from an agent's advice.

When does my teenage driver need to be added to my policy?
Should I buy additional glass protection?
What can I do if my company won't pay a claim?
Am I covered when delivering products for my home-based business?
Is my cargo covered for damage or theft?
Is rental equipment covered for theft or damage?
Am I covered if I drive in a foreign country?
Why does it cost so much to insure a teen driver in Fort Pierre?

If you don't know the answers to these questions, you may need to chat with a licensed agent. To find lower rates from a local agent, complete this form or you can go here for a list of companies in your area.

Additional detailed information is available at the South Dakota Division of Insurance website. South Dakota consumers can view agent and company licensing information, learn about insurance regulations, view a list of available companies, and find disaster information.

Affordable insurance is out there

When you buy insurance online, it's very important that you do not buy poor coverage just to save money. In many instances, drivers have reduced comprehensive coverage or liability limits to discover at claim time that the few dollars in savings costed them thousands. The ultimate goal is to buy a smart amount of coverage for the lowest price.

Affordable auto insurance is possible online in addition to many Fort Pierre insurance agents, so you should compare both to get a complete price analysis. There are still a few companies who do not provide online price quotes and most of the time these smaller companies sell through independent agents.